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Price Gouging Status

Joe Doyle, Administrator, announced settlements that have been reached to date as a result of recent gasoline price-gouging investigations conducted by the Governor’s Office of Consumer Affairs (OCA).  OCA began the investigation of price gouging immediately after Governor Perdue’s Executive Order of September 12, 2008.

Under Georgia law, price-control statutes are activated upon the Governor’s declaration of a state of emergency.  During the declared state of emergency, businesses may not sell any goods or services necessary to protect the health, safety or property of citizens at prices higher than the prices at which those same goods or services were offered before the declaration of a state of emergency.  The only exception allowed is if the business can document that the price was increased only in an amount which accurately reflects an increase in the cost of the goods or services to the person selling the goods or services or an increase in the cost of transporting the goods or service into the area.  Absent a declared state of emergency, competition and demand drive prices in our free-market economy.

“As I said during Hurricane Katrina in 2005, the Governor and his Office of Consumer Affairs take the issue of price-gouging very seriously and will continue to be vigilant now and in the future,” said Administrator Doyle. 

As of October 1st, 147 cases have been resolved - 53 with a finding of no price gouging and 94 with a finding of price gouging.  Cases were evaluated on the individual facts, and the settlements with violators included fines, consumer restitution or both.  All fines collected were deposited in the State treasury.  If a gas station operator was required to provide consumer restitution, he or she had to post signage stating that customers with receipts who were covered by the agreement were eligible for refunds.  Citgo's Food Mart of Lithonia was fined an additional $1,000 for its failure to post consumer restitution notices as required by the settlement document.

OCA put hundreds of stations on notice of the provisions of the price-gouging statute in order to avoid future violations.  The agency, which had received more than 2,000 consumer complaints or inquiries about price gouging or gas shortages, has completed about two-thirds of its investigations.

The recent settlements include the following businesses:

The Governor's Office of Consumer Affairs appreciates the work and contributions provided by the Department of Agriculture and local law enforcement officials in this endeavor.